Lobbyist indicted for Reid donations

Senate Majority Leader Harry Reid’s campaign received tens of thousands of dollars in illegal contributions to his 2010 effort, according to the indictment Wednesday of a Nevada lobbyist.

F. Harvey Whittemore of Reno faces four felony counts in connection with the alleged scheme to funnel funds to Reid.

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Reid was not accused of any wrongdoing.

The indictment says that the “vast majority” of about $138,000 in donations Whittemore delivered to Reid’s campaign in March 2007 were actually funded by the lobbyist, who allegedly reimbursed employees of his firm and their spouses for donations.

Whittemore, who has represented gambling, tobacco and land development interests, sometimes described as bonuses the reimbursements of $5,000 for $4,600 in gifts and $10,000 for $9,200 in donations.

Nevada press reports described Whittemore as a longtime friend of Reid’s.

However, the indictment says Whittemore sought to keep the senator in the dark about the true sources of the funds.

There was no immediate comment from Reid’s office.

Reid’s campaign has said it gave to charity or sent to the U.S. Treasury some of the donations received from Whittemore, but it is unclear whether all the money he claimed to have raised was disgorged by the campaign.

“Our campaign finance laws establish maximum limits on individual contributions, and failure to adhere to those rules jeopardizes the integrity of our elections,” the chief of the Justice Department’s Criminal Division, Lanny Breuer, said in a statement. “We will continue to pursue those who engage in such conduct.”

Whittemore’s lawyer insisted his client was innocent and that prosecutors have misinterpreted the facts.

“It is clear to us and it will be clear to a jury that Mr. Whittemore always acted in a law abiding manner, well within his constitutional rights and with complete transparency,” the defense attorney, Dominic Gentile, said in an e-mailed statement Wednesday. “We respectfully, but strongly, disagree with the government’s interpretation of both the facts and law applicable to this case as well as the decision to indict Mr. Whittemore.”

While the indictment says Whittemore met directly with Reid in February 2007 and discussed a $150,000 fundraising “target amount,” the indictment also says Whittemore’s intent was to conceal the sources of the donations from Reid, as well as the Federal Election Commission.

Whittemore is charged with one count of making donations in excess of the legal limit, one count of using others as a conduit for donations, one count of causing a false report to be filed with the FEC, and one count of making false statements to the FBI. If convicted on all counts, he faces a maximum possible sentence of 20 years and a fine of up to $1 million, though his sentence would probably be far less severe in accordance with federal sentencing guidelines.

In keeping with usual Justice Department policy, Reid is not mentioned by name in the indictment. However, based on federal campaign finance repots, the timing, and the amount of the donations, it’s clear his campaign was the recipient of the funds.

Reid spokeswoman Kristen Orthman released a statement Wednesday evening distancing the majority leader from the indictment.

“The Whittemore family gave money to local, state and federal officials over many years. At no time did Senator Reid have any knowledge that Mr. Whittemore was engaging in these alleged unlawful contributions to Senator Reid or any elected official,” Orthman said. “Senator Reid believes that this is a very serious matter, and he has full confidence in the American justice system.”

Court records show a warrant was issued Wednesday for Whittemore’s arrest. Gentile did not respond to a question about his client’s whereabouts.

The case is being prosecuted by attorneys from the U.S. Attorney’s Office in Nevada and the Justice Department’s Public Integrity Section in Washington.